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could someone help me out with these questions if it's not too much trouble please? thank you! EXERCISE & Suppose you plan to deposit 2.5

could someone help me out with these questions if it's not too much trouble please? thank you! image text in transcribed
EXERCISE & Suppose you plan to deposit 2.5 million euros annually on your savings account for the coming years, at the end of each year. The first deposit is at the end of this year. After how many years, at the earliest, will you have financed the 20 million euros set-up costs of Simson? (a) After 5 years (b) After 6 years (c) After 7 years (d) After 8 years SE 7 You have finally solved all financial issues, and it is time to set up the Simson Company now. Remember that the set-up costs are 20 million euros. For the next year (year 1) you expect a return of 5 million euros, for year 2 you expect a return of 8 million euros, whereas the return for year 3 is highly uncertain. Suppose that you evaluate the profitability of your company on the basis of the present value of the set-up costs and the expected returns from years 1, 2 and 3 alone. The Simson Company will be profitable if the expected return from year 3 is at least I, where is (a) somewhere between 6.5 million euros and 7.5 million euros (b) somewhere between 7.5 million euros and 8.5 million euros (c) somewhere between 8.5 million euros and 9.5 million euros (d) somewhere between 9.5 million euros and 10.5 million euros. EXERCISE 8 The sum of the infinite series 1 + + + + + + + ... is equal to (a) 2 (b) 1.8 (C) 1.75 (d) 1.7 9 Consider an investment project with an initial investment of X today, and net returns of 4000 euros, 7000 euros and 10000 euros after 1, 2 and 3 years from now. The internal rate of return of the project is 20%. Based on this information, the initial investment X is (a) between 13 500 euros and 14 500 euros (b) between 14 500 euros and 15 500 euros (e) between 15 500 euros and 16500 euros. (d) larger than 16500 euros

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